PM urges Thais to start saving and to make saving a Thai culture

[diehard60]

Before these people can start saving they have to earn a wage. They are not. Most of them live day to day, and rely on what they can from selling their rice, which right now I not much and this year with the rain fall they had is even less. SO HOW CAN THE SAVE ANYTHING????????????????????????

[Daniel Boon]

they barely have enough to feed themselves, let alone save anything

Many of them have enough to buy new pickups, motorcycles and iPhones

Of course there are many poor, but

Also a lot of irresponsible spenders

Who will get into debts they can never

Repay to get the latest thing

They have no idea of the concept of saving the yearly bonus from work if they can buy something cool with it

Education will take generations, prayuth or anyone else couldn't fix this problem even when they're giving away free money as subsidies every year to the "poor" farmers and illegal fishermen

not wishing to be pedantic and argumentative ... but there are more poor than rich (unless you think Thailand has bucked the worldwide trend of the 1%'s having most of the wealth) ...

I would bet serious money (and I am not a gambler) that Australians have an equally poor savings; that the British, Canadians and especially the Americans have poor savings

Lastly, Thailand doesn't need the sort of education we in the 'West' have ... a) excessive student loans, (arguably) 1,000 people with a degree for one position and c) content of degrees not cutting edge, but an exemplar of people's ability to research and reference work that is no longer relevant ...

I am far more impressed with my Wife's family and village's ability to live off the land, as opposed to 'us' totally dependant on the corner store for something to eat (just saying)

[soalbundy]

yes general and self-appointed "PM", we will all follow your example and through thriftiness save our way to become millionaires on our modest Thai salaries...

I don't like people who are "preaching" like this Herr Goh-Hok... especially when they do not have an actual solution which makes sure that people have pensions in their old age, or universal coverage when they are sick, or free education, or, .... almost anything else that benefits the broader society and not only the wealthiest elites and their military muscle...

They do have a pension,but it ain't much.Starting at 500 baht/month when your 60,and going up as you get older.30 baht for hospital and nearly free education until 16.

Free education ? theoretically maybe, i live in a village in isaan my children cost me a fortune going to public school. As soon as a new term starts parents in the village are in a panic as to where to find the money, so it gets borrowed.

[arunsakda]

Saving money? Mai sanook.

Sent from my iPhone using Tapatalk

[recycler]

At least he understands that "money" and "Thai culture" belong in the same sentence!

[JGV]

Start with the banks offering a decent interest rate on savings rather than the pathetic 1%

JGV

[arrowsdawdle]

Thais only live for the day and moment.

Not sure they can plan that far ahead.

[Thian]

"Prime Minister Prayut Chan-ocha urges Thai people to start saving and to make savings a Thai culture."

A bit out of touch with the commoners whose choice would be to spend their earnings on food and shelter or starve and save that money. Not everyone has the ability or opportunity to be the part of Thai Culture that shakes down motorists and business owners for enough money to save. Of course, I doubt they would give up that other part of Thai Culture which takes up a big chunk of their income...the Mia Noi.

We know a motorbike taxi around the corner. He lives modest, OK sometimes he drinks. His wife sells food.

He saves the money and buys land in Esaan from people who are in debt. Incredible cheap. He is not the youngest anymore and bought already a lot and let some labor work on the rice fields, from the profit it he buys more land.

He has a old motorbike, old mobile phone, no debts a lot land and some cash on the bank to direct buy the next piece when there is a cheap offer.

So it is possible for commoners. He has no good education but try to get one for his son......The low income people in the office have all the time a new smartphone often a new motorbike, etc.....enough space to save money.

That's a smart motocytaxidriver, he should be the example. Although he buys the land very cheap from people in dire need for money but business is business.

About the smartphone i have a different view, it took me a decade to see it that way. If you don't have the newest smartphone the Thai will constantly make fun of you and you become the idiot of the team. So forget about promotion if you're the idiot. Same goes for buying new cars, you gain status is you have red plates.

[Thai at Heart]

Ironically, for the good of the economy right now he needs everyone to start spending.

[easybullet3]

how does saving money save the Culture of a country?

[soalbundy]

they barely have enough to feed themselves, let alone save anything

True and despite many derogatory posts to the contrary about Thais thinking of the future i know many farmers who have sacrificed their health to provide a good education for their children so that at least they don't get treated as beasts of burden. I know a widow in my village ( her husband,a farmer, died in a building site accident ) managed to continue to support her children's education, one is a nurse, one an IT technician and the last one is a teacher, she still toils in the fields,''It's all i've ever learnt'' she told me.

[ravip]

they barely have enough to feed themselves, let alone save anything

True and despite many derogatory posts to the contrary about Thais thinking of the future i know many farmers who have sacrificed their health to provide a good education for their children so that at least they don't get treated as beasts of burden. I know a widow in my village ( her husband,a farmer, died in a building site accident ) managed to continue to support her children's education, one is a nurse, one an IT technician and the last one is a teacher, she still toils in the fields,''It's all i've ever learnt'' she told me.

And there are even 'savings banks' in government organisations that have 1000's of members who have invested.

Seems non of the expatriates living in Thailand for decades know about these, which is a pity.

As far as I know, Thailand is a normal country, inhabited by normal people but getting invaded by some abnormal aliens.

Edited November 2, 2015 by ravip

[ravip]

What intelligent posts, extending even to call someone stupid - #14

I guess the views are from the lower end, after a beer too many.

Whereas your stunning contribution to the debate has been completely stellar, insightful and a real pleasure to read...... congratulations.

It's just a matter of opinion and attitude - singing hosannas to your hero, whether good or bad.

[Mickmick]

I think many people here are missing the point of the PMs message. He wants people to join the new national savings fund, where the govt contributes into people's accounts too. Maybe all the TV members here saying the govt should do more don't know about this. I know my gf did not really know anything about it. The govt pays in from 50% to 100% of people's own contributions, depending on their age.

So if people bought an average Samsung/Nokia phone instead of "having" to get a new iPhone every time they could save 15000 baht plus another 50-100% from the govt. That would add up over the years, but no Thai that I know can think that far ahead financially . The other day one person asked my how I retired early, she is middle class and fairly well educated, but she could not grasp the concept of me putting extra money into my superannuation so that I could finish work early.

A bit of financial planning education in high school would not go astray.

That just cannot be correct. Paying in from 50-100%? Seems wrong.

"Seems wrong" for the govt to help people?

Google Thailand, national savings plan, and it will take you to an excellent explanation of it in the "other paper" that we cannot link to here. There are restrictions on who can join, mainly limited to farmers, vendors, other self employed, and max. limits on how much the govt puts in.

Edited November 5, 2015 by Mickmick

[Daniel Boon]

I think many people here are missing the point of the PMs message. He wants people to join the new national savings fund, where the govt contributes into people's accounts too. Maybe all the TV members here saying the govt should do more don't know about this. I know my gf did not really know anything about it. The govt pays in from 50% to 100% of people's own contributions, depending on their age.

So if people bought an average Samsung/Nokia phone instead of "having" to get a new iPhone every time they could save 15000 baht plus another 50-100% from the govt. That would add up over the years, but no Thai that I know can think that far ahead financially . The other day one person asked my how I retired early, she is middle class and fairly well educated, but she could not grasp the concept of me putting extra money into my superannuation so that I could finish work early.

A bit of financial planning education in high school would not go astray.

That just cannot be correct. Paying in from 50-100%? Seems wrong.

"Seems wrong" for the govt to help people?

Google Thailand, national savings plan, and it will take you to an excellent explanation of it in the "other paper" that we cannot link to here. There are restrictions on who can join, mainly limited to farmers, vendors, other self employed, and max. limits on how much the govt puts in.

"The plan calls for encouraging participation through matching government funds. For participants age 15 to 30, the government will contribute 50% of an individual's contribution, up to 600 baht ($18) a year; the match for ages 30 up to 50 will be 80%, up to 960 baht a year, and for ages 50 through 60, 100%, up to 1,200 baht per year.

According to the government's calculation, individuals who start saving 1,000 baht a month from age 20 can enjoy 7,000 baht per month in retirement, at 60, through the rest of their lives.

To me, this reads a maximum input by the government;

up to 30 year olds, of 600 baht a year

up to a 50 year old, of 900 baht a year and

up to a 60 year old, 1,200 baht a year

so for a 20 year old male, he would contribute 40,000 baht and 'earn' 37,000 baht ... totalling 77,000

he would get 'paid' 7,000 baht a month - from age 60 - for 'life' (life expectancy for males in Thailand is 71)

the buying power of 7,000 baht in 40 years?

http://www.pionline.com/article/20150722/ONLINE/150729951/thai-government-to-start-savings-scheme-for-informal-workers-self-employed

[arunsakda]

While we are pointing the finger at spendthrift Thais remember about %50 of Americans have zero net worth.

http://gabriel-zucman.eu/files/SaezZucman2014.pdf